Volkswagen is Under Investigation for Diverting R$1 Million via the Rouanet Law

Volkswagen may have reallocated money from the project for their benefit according to the Federal Comptroller General (CGU).

RIO DE JANEIRO, BRAZIL - Volkswagen do Brasil is being investigated for alleged irregularities, practiced between 2012 and 2013, in sponsorships under the National Program for Cultural Support (PRONAC), with resources obtained through the Rouanet Law -- which grants tax reductions to companies investing in cultural activities and allocates funds to the sector.

The administrative proceeding was initiated last Wednesday, June 26th, by the Office of the Federal Comptroller General (CGU). Another company -- Master Projetos Empreendimentos Culturais -- is also a suspect.

Altogether, the amount raised was R$1 million (US$250,000) through the Rouanet Law to sponsor the Brasilidade Sinfônica . . .

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